Net interest income at the Bank of Bermuda jumped 53 percent in the first half of 2006 as the bank benefited from rising interest rates, HSBC said in its six-month report yesterday.

HSBC said the rise ? which did not contain a dollar figure ? came as ?interest rate rises widened deposit spreads and stimulated customer demand for savings.

It added: ?Deposit balances grew by 30 percent while increased cross-sales led to a 21 percent in average lending balances.?

Separately, HSBC said the Bank of Bermuda?s risk weighted assets increased to $4.025 billion at June 30, 2006 compared to $3.597 billion at the end of June 30, 2005.

Its risk weighted assets slipped from the $4.195 billion recorded at the end of December, 2005.